The following is the balance sheet of Korver Supply Company at December 31, 2017. KORVER SUPPLY COMPANY Balance sheet At December 31, 2017 Assets Cash Accounts receivable Inventories Furniture and fixtures, net Total assets Liabilities and shareholders' Equity Accounts payable (for merchandise). Note payable Interest payable Common stock Retained earnings Total liabilities and shareholders' equity $140,000 280,000 230,000 160,000 $810,000 $230,000 240,000 6,000 130,000 204,000 $810,000 Transactions during 2018 were as follows: 1. Sales to customers on account 2. Cash collected from customers 3. Purchase of merchandise on account 4. Cash payment to suppliers 5. Cost of merchandise sold 6. Cash paid for operating expenses $890,000 870,000 580,000 590,000 530,000 250,000